5 Compelling Reasons to Postpone Retirement

Older man
AshTproductions / Shutterstock.com

Nearly every worker has dreamed of retiring and leaving the rat race behind. For some, it’s an occasional daydream. Others obsess over the thought for much of their working lives.

But just like everything else in life, retirement has its shadow side: It’s not all mornings on the golf course or day trips to undiscovered romantic hideaways.

Once you retire, you will give up some important — even irreplaceable — things. With that in mind, here are five reasons you should retire later than you planned.

You will be richer

Smiling retired woman with money
bxTT / Shutterstock.com

It sounds crazy, but simply working for an additional three to six months beyond your planned retirement date can increase your retirement income by as much as if you had saved an extra 1% a year for 30 years prior to ending work.

That’s the conclusion of the study “The Power of Working Longer,” a National Bureau of Economic Research working paper. What accounts for the increased wealth? By working a few months longer, you boost your monthly Social Security benefit. That will have positive financial ramifications for the rest of your life.

Working longer provides other undeniable financial benefits. For example, continuing to work means you’ll probably get longer access to annual matching funds in your 401(k) plan.

Finally — and most obviously — by working longer, you’ll bring in an income for a longer period of time. As far as we can tell, the end result of earning more money is that … well, you generally end up with more money.

Of course, you could undo all that good by foolishly spending the extra cash you rake in. Before you make this blunder, check out “Stop Overspending on These 13 Things.”

You will be healthier

Healthy Wage
Lopolo / Shutterstock.com

A 2009 University of Maryland study found that people between the ages of 51 and 61 who continued to work had fewer major illnesses and disabilities than their peers who retired.

Several other studies have reached similar conclusions. For example, a 2013 study found that working longer in life might help prevent dementia.

If you can’t stand the thought of continuing the 40-hour grind of working at some faceless corporation, take heart: The University of Maryland study found that improved health was associated with any type of working — from full time to part time, and self-employment to temporary gigs.

You will have stronger relationships

Rawpixel.com / Shutterstock.com

Isn’t it funny how people who are deeply in love can’t stand the thought of being around each other for more than a few hours?

In retirement, you and your spouse may end up together 24/7 — perhaps for the first time in your marriage. That kind of “togetherness” is enough to strain the bonds of the strongest unions.

Quitting work also might deprive you of close friendships that you have built in the office over years, possibly even decades.

Delaying retirement can be just the right move to keep marital and friendship bonds strong.

You will have better health insurance

Senior health care
imtmphoto / Shutterstock.com

Insurance obtained through a group plan — such as that provided by your employer — is cheaper and better than just about any type of coverage you can get on your own.

By delaying retirement and continuing to work for a company, you’ll reap the benefits of robust, affordable health coverage until you qualify for Medicare at age 65.

You will have a chance to give back

Mentor
fizkes / Shutterstock.com

Most of us are grateful to live in a nation that has provided us with unlimited opportunity and unprecedented prosperity. Think about it: Of all the human beings who have ever lived, you are arguably among the very luckiest simply because you are an American.

If you disagree — well, maybe you are too distracted by your iPhone, your new SUV or your 2½ bathrooms to have thought about it.

Continuing to work gives you a chance to give back for all your good fortune. Perhaps working longer means simply paying taxes back to the nation that has given you so much. Or maybe it’s something simpler, like sticking around to mentor the new kid in the office who may take the professional lessons you provide and use them as fuel for his or her own career goals.

There are a million ways that simply showing up to your 9-to-5 makes the world a better place — both for you and your community as a whole.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
Stop Overpaying for These 10 Common Purchases
Stop Overpaying for These 10 Common Purchases

The best price for many of these items is “free.”

3 Cable TV Companies Hiking Prices for 2021
3 Cable TV Companies Hiking Prices for 2021

Still married to your cable company? Hold on to your wallet!

Cut These 11 Expenses Now If You Hope to Retire Early
Cut These 11 Expenses Now If You Hope to Retire Early

Like the idea of financial independence? Part of the FIRE equation is cutting costs.

15 Ways Retirees Can Make Their Savings Last Longer
15 Ways Retirees Can Make Their Savings Last Longer

Study these strategies to make your golden years gleam.

7 Reasons You Should Not Claim Social Security Early
7 Reasons You Should Not Claim Social Security Early

The sooner you claim your Social Security retirement benefits, the more you — and perhaps also your spouse — stand to lose. Here are the stakes.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
7 Kirkland Signature Items to Avoid at Costco
7 Kirkland Signature Items to Avoid at Costco

Even if it seems you save a bundle buying Costco’s Kirkland Signature brand products, they may not be the bargain they appear to be.

How to Buy Gas At Costco Without a Membership
How to Buy Gas At Costco Without a Membership

The warehouse club often has some of the cheapest gas in town. Here’s how you can get it as a nonmember.

10 Things to Stop Buying If You Want a Clutter-Free Home
10 Things to Stop Buying If You Want a Clutter-Free Home

If you like to keep things simple, avoid these purchases.

If You Find This Thrift Shopping, Buy It
If You Find This Thrift Shopping, Buy It

Vacuums from this brand can last a half-century, if not longer — and they’re hot on the resale market.

A Simple Way to Silence Robocalls Today
A Simple Way to Silence Robocalls Today

A few steps can keep your phone from ringing when a spammer calls.

This Company Makes the Best Tires in America
This Company Makes the Best Tires in America

Driver satisfaction with tires is at an all-time high, but one brand stands out.

Can I Switch to Spousal Social Security Benefits When My Ex Dies?
Can I Switch to Spousal Social Security Benefits When My Ex Dies?

Knowing when to claim can help you maximize benefits.

36 Things That Will Be Obsolete Soon
36 Things That Will Be Obsolete Soon

The writing is on the wall for dozens of things we have grown up with.

This Health Issue Can Hint at Dementia Years in Advance
This Health Issue Can Hint at Dementia Years in Advance

One type of pain is especially associated with cognitive decline.

8 Things You Should Always Buy on Amazon
8 Things You Should Always Buy on Amazon

The giant retailer shines when it comes to these things, from basics to hard-to-find specialty goods.

8 Federal Income Tax Breaks for Homeowners
8 Federal Income Tax Breaks for Homeowners

Some of these deductions and credits are available to a wide swath of homeowners.

10 Deep Discounts Available on Amazon This Friday
10 Deep Discounts Available on Amazon This Friday

These items are steeply discounted — but the deals won’t last long.

3 Ways to Get Microsoft Office for Free
3 Ways to Get Microsoft Office for Free

With a little ingenuity, you can cut Office costs to zero.

5 Ways to Get Amazon Prime for Free
5 Ways to Get Amazon Prime for Free

Hesitant to drop $119 a year on an Amazon Prime membership? Here’s how to get it for free.

17 Surprising Things You Can Sell for Extra Money
17 Surprising Things You Can Sell for Extra Money

You probably don’t realize these items are worth decent cash.

5 Ways to Fill Your Pantry With Free Food
5 Ways to Fill Your Pantry With Free Food

Anyone can take advantage of these resources.

10 Types of Retirement Income That Are Not Taxable
10 Types of Retirement Income That Are Not Taxable

There are lots of things Uncle Sam can’t touch — so long as you play by the rules.

9 Things You’ll Never See at Costco Again
9 Things You’ll Never See at Costco Again

The warehouse store offers an enormous selection, but these products aren’t coming back.

6 Reasons You Should Stop Hiding Cash at Home
6 Reasons You Should Stop Hiding Cash at Home

Stashing money around the house is anything but harmless.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.